AIC MARKETING 3RD TERM EXAM FOR SS1
  • 1. What does merchandising mean according to the notes?
A) Only buying goods
B) Storing goods in a warehouse
C) Advertising products on social media
D) Goods bought and sold for trading purposes
  • 2. 2. Merchandising is best described as:
A) Calculating profit and loss only
B) Hiring workers for a company
C) The activities involved in displaying and selling goods in a way that attracts customers
D) Transporting goods from one country to another
  • 3. Who is a merchandiser?
A) A person who only packs goods
B) A driver who transports goods
C) A person who interacts with buyers and sellers and ensures proper execution of orders
D) An accountant in a store
  • 4. Which of the following is NOT listed as an importance of merchandising?
A) Increasing sales
B) Reducing the price of goods
C) Attracting customers
D) Improving store image
  • 5. Proper display of goods helps to:
A) Make goods more difficult to see
B) Attract customers and improve store appearance
C) Reduce the need for packaging
D) Increase the cost of production
  • 6. Attractive packing and good store arrangement are parts of:
A) Only transportation
B) Government policy
C) Merchandising
D) International banking
  • 7. One major role of a merchandiser is to:
A) Cook for customers in the store
B) Repair broken shelves
C) Drive delivery vans
D) Maintain proper relations between buying offices, agents, and sellers
  • 8. Merchandising is very important because it:
A) Only focuses on storage
B) Makes goods more expensive
C) Reduces the number of customers
D) Helps sell goods faster and improves business image
  • 9. Packaging is mainly:
A) Advertising on television
B) The process of enclosing or protecting a product for distribution, storage, sale, and use
C) Counting goods in the store
D) Writing letters to customers
  • 10. Which of the following is an importance of packaging?
A) Making goods difficult to identify
B) Attraction, Promotion, Facilitates purchase decision, Differentiation, Physical protection
C) Only making the product heavier
D) Making it attractive
  • 11. How does packaging help in promotion?
A) It reduces the size of the product
B) It makes the product invisible
C) It carries important information about the product
D) It increases the weight of the product
  • 12. Physical protection as a function of packaging means protecting the product from:
A) Other products in the same shop
B) Customers touching it
C) Shock, vibration, temperature, and other damages
D) Sunlight only
  • 13. A label on a product usually carries information about:
A) Weather forecast
B) Manufacturer, expiry date, how to use the product, and handling
C) Only the price of the product
D) The name of the shop owner
  • 14. Before creating a label, a producer should know:
A) The name of the driver
B) Only the colour of the label
C) Regulations of the countries where the product will be sold and customer needs
D) The weather of the country
  • 15. Good labelling and packaging require:
A) Ignoring customer needs
B) Only expensive materials
C) No planning at all
D) Research, planning, and consultation
  • 16. High-quality labelling helps the consumer to:
A) Love the product
B) Make informed purchase decisions
C) Pay more money
D) Become confused
  • 17. Branding is:
A) The idea or image of a product or service that customers connect with
B) Packing goods in boxes
C) Storing goods in a warehouse
D) Transporting goods abroad
  • 18. One major benefit of branding is:
A) Making the product more expensive
B) Hiding the product quality
C) Recognition and customer loyalty
D) Reducing sales
  • 19. A strong brand creates an image of:
A) Unknown company
B) Poor quality
C) Quality, size, experience, and reliability
D) High price only
  • 20. Promotion is best described as:
A) Only advertising on radio
B) Persuasive communication to inform consumers about a product
C) Storing goods for the customer
D) Reducing the price of goods permanently
  • 21. Which of the following is a sales promotion tool?
A) Discount
B) Closing the shop early
C) Hiding product information
D) Coupons, rebates, sampling, loyalty programmes
  • 22. Point-of-Purchase (POP) display is:
A) A type of international shipping
B) A banking service
C) A government regulation
D) Specially designed materials placed in retail stores to attract customers
  • 23. Promotion serves as a reminder because:
A) Customers never forget products
B) Even loyal customers need to be reminded of the product’s benefits
C) It increases price only
D) It reduces advertising cost
  • 24. Marketers use promotion to:
A) Increase sales and affect demand elasticity
B) Make products less attractive
C) Decrease sales
D) Confuse customers
  • 25. Contests and sweepstakes are used in promotion because:
A) They are very cheap to run
B) They are not allowed by law
C) They discourage customers
D) They attract customers with the possibility of winning high-value prizes
  • 26. Standardizing and grading of products means:
A) Increasing the price
B) Reducing the size of goods
C) Setting up categories and quality levels for goods
D) Mixing all goods together
  • 27. Storing of goods helps to:
A) Make goods disappear
B) Reduce transportation cost
C) Protect goods from deterioration and make them available when needed
D) Increase spoilage
  • 28. Market research in merchandising includes:
A) Only counting money
B) Repairing machines
C) Market maker analysis, sales research, dealer research, consumer research
D) Cooking for staff
  • 29. A good merchandiser should have:
A) Only physical strength
B) Planning capability, decision-making skill, communication skills, and loyalty
C) No knowledge of the product
D) Poor communication skills
  • 30. Knowledge of the product field is important for a merchandiser because:
A) It reduces sales
B) It is not necessary
C) It helps in dealing effectively with different people in the business
D) It makes the merchandiser proud
  • 31. Transportation as a function of merchandising involves:
A) Moving goods from where they are produced to where they are needed
B) Moving goods from where they are produced
C) Moving goods from where they are produced to the store
D) Moving goods from from the store
  • 32. One quality of a merchandiser is:
A) Ability to have face-to-face conversation with buyers
B) Ability to sleep during work
C) Avoiding planning
D) Ability to have face-to-face conversation with seller
  • 33. International marketing involves:
A) Selling only within one country
B) Marketing goods and services across national boundaries
C) Storing goods in one warehouse
D) Local advertising only
  • 34. One advantage of international marketing is:
A) Entering new markets before competitors
B) Increasing transportation cost only
C) Reducing the number of customers
D) Making business more difficult
  • 35. International marketing helps a company to:
A) Better utilize productive capacity and achieve economies of scale
B) Lose market share
C) Better utilize productive capacity and achieve victory
D) Reduce production
  • 36. Global marketing is:
A) A type of packaging
B) A larger and more complex operation coordinating marketing programmes worldwide
C) Selling only in one local market
D) A larger and more complex operation coordinating marketing programmes in Europe
  • 37. One reason for international trading is:
A) To increase overall profit and take advantage of innovative products
B) To make business smaller
C) To reduce profit
D) To decrease ease overall profit and take advantage of innovative products
  • 38. International marketing is more complex than domestic marketing because of:
A) Uncontrollable variables like culture, politics, and economic differences
B) Only one currency
C) Same conditions everywhere
D) No competition
  • 39. Counteracting slowing growth is a reason for:
A) Reducing staff
B) International marketing
C) Increasing local price only
D) Closing the business
  • 40. Synergies between domestic and overseas operations mean:
A) Higher costs only
B) Benefits that strengthen the whole organization
C) Problems between countries
D) Benefits that weaklings the whole organization
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